LOUISVILLE, Ky. (WDRB) – A 7-story apartment building containing 246 units is planned just east of downtown in the Phoenix Hill neighborhood, according to Louisville Metro planning records.

Louisville-based apartment builder LDG Development plans the project at the corner of East Clay and South Gray streets.

The site is currently home to Multi Metals, a manufacturer of cemented tungsten carbide products, according to its website.

LDG plans to demolish the industrial building, but construction won't begin until 2019 at the earliest, said LDG development manager Michael Gross.

In addition to obtaining zoning approval, LDG also needs to line up financing for the project, he said.

Gross said apartments are a better fit for the area given its proximity to downtown, the Highlands, Nulu and the city's hospital district.

"This particular site is a heavy industrial site and an urban-edge area that is not really suitable for heavy manufacturing. We feel it’s a great re-use of the property," he said. 

Gross said LDG plans "workforce" housing that won't be as expensive as some of the "high end" complexes under development nearby, such as the two Edwards Co. projects near Baxter Avenue and Bardstown Road.

He declined to say what rents the company might charge for the Clay and Gray building, which will be a mix of one-, two- and three-bedroom units.

He also declined to give the project's cost.

LDG filed plans Friday to request a zoning change to allow construction of the apartment building.

The building will include “a mixture of townhome units and flats, along with a community room at the comer of Clay and Gray Streets,” as well as a parking garage, according to documents filed with the city.

Franc Koljaka, an employee of Multi Metals, confirmed that the manufacturing operation is still active but declined to answer other questions. He said the owners of the company were not immediately available.

Reach reporter Chris Otts at 502-585-0822, cotts@wdrb.com, on Twitter or on Facebook. Copyright 2018 WDRB News. All rights reserved.